Newsletter

Chatham County looks to slash jobs, programs

Friday the 13th was an appropriate day to unveil Chatham County’s recommended budget. It is a frightening thing.

The $622 million spending plan includes a number of cost-cutting measures, including laying off 100 employees in September.

The proposal for the next fiscal year, which begins July 1, assumes a 4-percent reduction in property tax revenue, or about $5.2 million less than the current year. The actual amount of revenue coming in will not be known until the county’s tax digest is finished, which is expected this month or in early June.

To prepare for the reduced revenue, county departments were asked to reduce their budget requests by 5 percent. Still, operations cost increases of about $4.9 million — which includes growing health care and pension expenses — mean those cuts are not enough. As a result, layoffs are needed to balance the budget without raisingtaxes while maintaining at least two months of cash reserves as commissioners had requested, according to County Manager Russ Abolt.

After subtracting unemployment and leave payouts, the layoffs are expected to save the county about $2.8 million.

Specific positions have not been identified, but those employees will be notified at least two months in advance, said Michael Kaigler, assistant county manager and human resources director.

The county’s special service district, the designated taxing district that funds services in the unincorporated county, would be hit the most, with a loss of about 77 workers — or 65 percent of the employees.

“I’ve been here more than 21 years,” Kaigler said. “It hasn’t been this bad in a long time.”

Much of those layoffs are expected to come from the public works department.

Chairman Pete Liakakis said the county may be able to implement alternative cost-cutting measures, besides layoffs.

“To lay off a large number of employees, I am not in favor of that,” Liakakis said.

One alternative included in the proposal for consideration is to increase the property tax rate — something commissioners opposed during a recent budget goal-setting session.

Liakakis said he wants to wait until the digest comes in before deciding whether he will back such an increase.

In addition to the layoffs, other cuts are being proposed — including a $300,000 reduction to Savannah-Chatham Police Chief Willie Lovett’s funding request.

A solid waste service fee of $85, up from $43, for unincorporated residents is also being proposed. It is the same proposal that was rejected in a 5-3 vote last year by commissioners. Reserve funds have been funding the service and those funds are set to be depleted by Fall 2012.

In making his proposal, Abolt said he is looking ahead three years when the $71 million jail expansion project is set to be completed. That facility is expected to result in a significant increase in operational costs.

Budget workshops regarding the budget proposal are slated to be held between Monday and June 10. A public hearing is scheduled for May 27.